Will this Statement alone be enough to Prove my Gambling Loses for Tax Deduction

[goaldigger]

I personally have never and would never claim gambling losses on my taxes. Besides it likely opening you up to further investigation that could lead to costly and stressful audits, I personally don’t believe it’s the government’s job to reimburse me for losses as a result of dumb decisions. Similarly to why I don’t claim crypto losses on my taxes. It just seems like personal responsibility to me.

The government will make further investigations on what you are claiming so yeah, this can result for the audit just for them to check if you are really qualified to claim that losses. Better to consult an accountant if you have one who are handling your filling, for sure they can advise you on what to do especially if you lose a lot of money and can’t afford to pay any taxes anymore.

You have to review the tax rules in your country if declaring such losses from gambling is valid, or else better not to declare it because they might ask for more details especially for the source of money and bigger problem might occur if you can't provide any proof for your income. Declaring your income for tax purposes seems to be more stressful, its really good to ask for legal advise from the accounting firm, in my country we have a lot of services like this that actually work for small business, I just don't know if they also handle gambling income since its hard to get proof from this.

[uneng]

I personally have never and would never claim gambling losses on my taxes. Besides it likely opening you up to further investigation that could lead to costly and stressful audits, I personally don’t believe it’s the government’s job to reimburse me for losses as a result of dumb decisions. Similarly to why I don’t claim crypto losses on my taxes. It just seems like personal responsibility to me.

The government will make further investigations on what you are claiming so yeah, this can result for the audit just for them to check if you are really qualified to claim that losses. Better to consult an accountant if you have one who are handling your filling, for sure they can advise you on what to do especially if you lose a lot of money and can’t afford to pay any taxes anymore.

You have to review the tax rules in your country if declaring such losses from gambling is valid, or else better not to declare it because they might ask for more details especially for the source of money and bigger problem might occur if you can't provide any proof for your income. Declaring your income for tax purposes seems to be more stressful, its really good to ask for legal advise from the accounting firm, in my country we have a lot of services like this that actually work for small business, I just don't know if they also handle gambling income since its hard to get proof from this.

Yes, he has to seek for informations with the local government's body from his country, because rules and guidelines are different for each territory. Only those public agents will be able to provide accurate informations on how he should conduct his tax deduction process when gambling online at crypto casinos.

However, since it's a bureaucratic process which demands the hiring of an accounting professional, what also makes it expensive, it's better to avoid it maximum as possible, otherwise it might be more expensive to ask for tax deduction, after all, than just leaving it alone.

[KTChampions]

I personally have never and would never claim gambling losses on my taxes. Besides it likely opening you up to further investigation that could lead to costly and stressful audits, I personally don’t believe it’s the government’s job to reimburse me for losses as a result of dumb decisions.

That's a good argument there but if they tax gambling winnings then it is only natural and fair to everyone that they also allow gambling losses as tax deductibles. Governments have different rules on this but I agree on the audit part. Recordkeeping could also be a bother.

In my opinion, the tax deduction is also logical because it, in a sense, corrects double taxation. If you look at the situation from the outside, it turns out that taxes go either from the casino or from the player - wherever the money goes, part of it still goes to taxes. It's highly unfair if a player can't get a tax deduction.

[livingfree]

I guess by just our opinions regarding losses and taxes, I don't think that it will be counted to be taxable. There's no way that you'll get to pay taxes with something that you don't have anymore.

But anyway, those are just our opinions and it's really best for him to consult an accountant as they're the professionals regarding situations about taxation.

In my country, you can get a tax deduction (payroll tax refund) if you provide documents that you spent money on real estate, education or medical treatment. There are certain restrictions (for real estate, you can only get a deduction once in a lifetime), but this system works. I'm sure it works the same way in most countries.
Gambling is also obvious - if I pay taxes when I win, then why can't I get a tax refund when I lose?

I'm not sure if it's the same in OP's country.

That ruling is basically one of the best taxation for a country, as an individual, you get to enjoy the benefits of tax and that's should encourage everyone to pay the taxes on time and that should be deducted automatically.

I agree that system works and people won't be too lazy to file for their income taxes and anything that's being taxable.

[Viscore]

From my experience with tax laws, no country will tax you for gambling losses, they can only do that if you have an aggregate gambling gain over the tax period.

And the issue is that it's not easy for countries to tax their citizens the way you have explained, though it's viable for you to prove you gained or lost. However, some would still evade tax through that as there are many schemes through which they do this, especially when they could gamble online, and with crypto.

This is why a country that wants to tax its citizens always has arrangements with the gambling company, they might tax your ticket directly or have the record they will duplicate for the government in order to know how to tax you. But one must be living in their country for the latter to be effective.

Either way, it depends on the country, but you shouldn't be taxed if you are not gaining.

I have never seen or heard such countries that imposed taxes even in times when you are at loss. Maybe it could be true for some who are really making it huge in gambling, but for those who are at loss, it will be additional loss for them if ever the government will still taxed them. Like in lottery, although taxes maybe included already in our tickets or bets, but most especially if you hit the jackpot prize, you will never receive the full winning amount indicated in the screen as they will still deduct quite big amount for the tax.